According to page B1 of the December 4, 2015 Money Section of USA Today, the top ten U.S. multinationals with large cash hoards that are classified as “foreign reinvested earnings” are the following: General Electric ($119 billion), Microsoft ($108 billion), Apple ($91 billion), Pfizer ($74 billion), IBM ($61 billion), Merck ($61 billion), Cisco ($58 billion), Johnson & Johnson ($53 billion), Exxon Mobil ($51 billion), and Google ($47 billion). With the exception of Exxon, every single one of these companies pays an effective tax rate below the prevailing 35% rate that is the standard federal share of profits before deductions.
This is a topic that generates more controversy than it should. Tonight, when Apple CEO Tim Cook appears on “60 Minutes”, he will receive intense questioning from Charlie Rose that suggests Apple is evading its tax obligations. CEO Cook does not take kindly to the insinuation that Apple is a tax … Read the rest of this article!